The demand for spot Bitcoin exchange-traded funds (ETFs) is hitting record levels, with investors pouring $2.45 billion into crypto funds last week alone. CoinShares reports that total assets under management for these funds have now reached $67 billion, marking the highest level since December 2021.
Institutions are flocking to Bitcoin ETFs, with 10 such funds now listed on U.S. stock exchanges. The Securities and Exchange Commission’s approval of these products in January has opened the floodgates for traditional investors seeking regulated exposure to cryptocurrencies.
BlackRock, the world’s largest asset manager, saw significant inflows last week, particularly into its iShares Bitcoin Trust. While Bitcoin remains the primary focus, smaller inflows were noted for other digital assets like Avalanche, Chainlink, and Polygon.
With Bitcoin’s price hovering around $51,800, the appeal of crypto funds continues to grow. These record inflows signal a broader shift towards digital assets among institutional investors, highlighting the increasing acceptance and adoption of cryptocurrencies in the traditional financial world. As the market evolves, the interest in Bitcoin ETFs serves as a strong indicator of the ongoing integration of digital assets into mainstream investment portfolios.
